GujRERA Takes Drastic Measures Against Non-Compliant Real Estate Developers
GujRERA cracks down on over 1,000 non-compliant real estate projects in Gujarat, freezing bank accounts and cancelling registrations.
Real EstateGujreraComplianceRegulatory NormsConsumer ProtectionReal Estate NewsJul 14, 2024
The affected projects, many of which were launched in 2018-19, had a projected completion date of the first half of 2024. However, developers failed to update the project completion status with GujRERA within the specified deadline, nor did they seek an extension for the same. This failure to comply with the Quarter-End (QE) requirements has led to the cancellation of project registrations.
The move is expected to have a significant impact on developers in major cities like Ahmedabad, Vadodara, Surat, and Rajkot. Interestingly, some of the affected projects are already completed, and buyers have been granted possession, but the Building Use (BU) permission is still pending, preventing developers from completing the QE compliance.
The GujRERA official emphasized that the authority is committed to ensuring that developers adhere to project-completion compliance norms. The freezing of project-linked bank accounts sends a strong message to real estate developers in Gujarat that failure to comply with regulatory norms will not be tolerated.
As the developers navigate the consequences of this crackdown, it remains to be seen how they will adapt and ensure compliance with the QE requirements going forward, ultimately benefiting both the industry and the homebuyers.
Frequently Asked Questions
What action has GujRERA taken against non-compliant real estate developers?
GujRERA has frozen over 1,000 bank accounts linked to real estate projects and cancelled their registrations.
What is the reason behind the cancellation of project registrations?
Developers failed to update the project completion status with GujRERA within the specified deadline, nor did they seek an extension for the same.
What is the impact of GujRERA's action on real estate developers?
Developers are prohibited from advertising or selling remaining units, and they will also be unable to seek credit for these projects.
What is the significance of the Quarter-End (QE) compliance requirements?
The QE compliance requirements ensure that developers adhere to project-completion norms, and failure to comply will result in strict action.
What is the ultimate goal of GujRERA's action?
The ultimate goal is to uphold transparency and consumer protection within the state's real estate industry, benefiting both the industry and the homebuyers.
Related News Articles
Nippon Life India Secures Office Space in Mumbai for Rs 4.86 Billion
Nippon Life India has made a significant real estate investment by acquiring office space in Mumbai for Rs 4.86 billion. This move underscores the company's commitment to expanding its presence in one of India's most prominent business hubs.
Tribeca Developers to Invest ₹7000 Crore in Four New Trump-Branded Projects in India
Tribeca Developers, a renowned real estate company, is set to invest a staggering ₹7000 crore in four new Trump-branded projects across India, expanding its footprint in the country's booming real estate market. The projects, expected to be completed by 2
A ₹3,498 Crore Paper Play: A Windfall for ABREL, a Growth Bet for ITC
For ABREL, the sale fuels its real estate ambitions. For ITC, the acquisition cements its leadership in paper. The deal marks a fundamental shift in the industry dynamics.
NRI’s Guide to Investing in Indian Real Estate: Navigating the Complexities
The Indian real estate market is experiencing a surge, and NRIs are playing a significant role. Discover the opportunities and challenges involved in investing in Indian real estate.
Pune Police Busts Prostitution Racket in Kalyani Nagar; Lodge Owner and Manager Among 3 Arrested
Pune police have successfully dismantled a prostitution racket operating in Kalyani Nagar. The lodge owner, manager, and another individual have been arrested and charged with running the illegal operation.
Infra.Market Secures Rs 1050 Crore in Massive Pre-IPO Funding
Infra.Market, a leading player in the real estate and infrastructure sector, has announced a significant pre-IPO funding round of Rs 1050 crore. This investment highlights the company's robust growth and solidifies its position in the industry.